Ford said its scheme was part of drive to get the most polluting vehicles off the road.

The firm quoted figures from the Society of Motor Manufacturers and Traders showing there were 19.3million cars with pre-Euro 5 emissions levels - those that qualify for its scrappage scheme - on UK roads.

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However, Ford is extending a separate money off deal that was already scheduled to run in September so it continues until the end of this year.

It means someone buying a new Ford B-Max - which starts at £17,945 - can get up to £3,500 off the list price.

The maximum savings are on Ford Transit vans, around 100,000 of which are sold in the UK every year.

Someone buying a Transit - which has a list price starting at £24,415 - can save up to £7,000.

That includes the £2,000 scrappage and a promotional discount of up to £5,000.

Car companies are launching scrappage schemes just as sales of new vehicles have begun to fall.

It comes as the Government recently announced that new diesel and petrol cars and vans will be banned from 2040 as part of efforts to tackle air pollution.

Andy Barratt, chairman and managing director of Ford of Britain. “Removing generations of the most polluting vehicles will have the most immediate positive effect on air quality, and this Ford scrappage scheme aims to do just that.

“We don’t believe incentivising sales of new cars goes far enough and we will ensure that all trade-in vehicles are scrapped.

“Acting together we can take hundreds of thousands of the dirtiest cars off our roads and out of our cities.”